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IRKUTSK, January 12 (Itar-Tass) — An auction for the right to develop Russia's largest Savinsky deposit of magnesites has been announced in Irkutsk Region, an official at the territorial department for the use of subsurface resources told Itar-Tass on Thursday that this deposit of raw materials for the production of refratories, which are applied in metallurgy, as well as in chemical, cement, and ceramic industries, is located in in the foothills of the Eastern Sayany mountain range, 110 km from the Trans-Siberian Mainline Railway and Federal Highway Baikal.
The deposit is linked with the nearest populated areas, as well as with the town of Cheremkhovo, by a ground-surfaced road. A power transmission line runs at a distance of 70 km from the deposit.
The reserves of magnesite ore of all grades, confirmed by the State commission, amount to about 2,000 million tonnes. Besides, the confirmed reserves of cobalt ores within a licensed block with an area of three square kilometres amount to 780,000 tonnes.
The auction has been scheduled for April 16. The starting amount of one-off payment for bidders is set at 801 million roubles. A winner will be granted the right to use the area of subsoil resources and will be given a license for the purpose of prospecting and mining the valuable mineral raw material over a term of 20 years.
The Savinsky deposit was discovered in the 1960s.